KT Selected as the First 'Caring Company' in the Information and Communication Technology Sector

Win-win Activities to Promote 5G Smart Factory Adoption and Non-face-to-face Sector 활성화

KT CEO Koo Hyun-mo (left), Minister of SMEs and Startups Park Young-sun (center), and Inno-Biz Association Chairman Cho Hong-rae are signing the 17th Caring Company business agreement for the "Activation of Non-face-to-face Sector Centered on 5G" at the KT Gwanghwamun Building on the 22nd.

[Asia Economy Reporter Kim Cheol-hyun] KT is the first information and communication technology (ICT) company to voluntarily engage in a win-win cooperation with small and medium-sized enterprises (SMEs) to promote the adoption of 5G smart factories and the activation of non-face-to-face sectors as a 'Jasanghan Company.' A Jasanghan Company refers to a voluntarily cooperative company that shares its strengths such as infrastructure and know-how with non-trading companies and small business owners.

The Ministry of SMEs and Startups (Minister Park Young-sun, hereinafter referred to as the Ministry) announced on the 22nd that it signed a 'business agreement to promote the non-face-to-face sector centered on 5G' with KT (CEO Koo Hyun-mo) and the Innobiz Association (Chairman Cho Hong-rae). This agreement is the 17th in the Jasanghan Company series promoted by the Ministry since May last year to realize the values of coexistence and win-win cooperation, and was made possible by KT's determination to actively support the activation of SMEs in non-face-to-face sectors such as 5G smart factories.

This agreement also marks the first Jasanghan Company agreement with an ICT company. The Ministry plans to implement various win-win efforts so that SMEs can turn the COVID-19 crisis into an opportunity through non-face-to-face sector win-win agreements aligned with this year's policy direction of 'Great Transition to the Digital Economy, Smart Korea.'

Following the Jasanghan Company business agreement with KT, the spread of 5G smart factories among SMEs is expected to be activated. A Smart Korea Fund of 24 billion KRW will be established (KT investing 12 billion KRW) to focus investment on non-face-to-face sectors such as 5G smart factories, and a 36-month long-term installment plan will be provided for the cost of introducing 5G smart factory equipment. Additionally, KT will launch the 'KT Smart Factory Alliance' by connecting 5G smart factory solution providers and demand companies, establishing a support system for SMEs to expand 5G smart factories. Low-interest loans will also be provided to solution-supplying SMEs to support stable solution supply.

Support for activating SMEs in the non-face-to-face sector is also included in this business agreement. Using a public-private joint investment technology development fund (KT contributing a total of 3 billion KRW over three years), R&D for promising SMEs in the non-face-to-face sector will be supported, and the Naeil Chaeum Deduction program will support long-term employment of core R&D personnel in SMEs in the non-face-to-face sector. AI education support utilizing big data and online/offline distribution channels owned by KT, as well as providing sales channels for excellent SME products, will also be carried out.

Win-win activities in the non-face-to-face sector will also be expanded for small business owners. Using 'One Navi,' operated by KT, location guidance services for 'Baeknyeon Gage' certified by the Ministry will be provided, and KT will closely cooperate in the future when the Ministry advances the commercial district information system it operates. CEO Koo Hyun-mo of KT said, "Based on KT's excellent non-face-to-face technology, we will actively support SMEs and small business owners to rapidly transition to the digital economy, overcoming the COVID-19 crisis and contributing to national economic growth."

Minister Park Young-sun of the Ministry said, "From the Ministry's standpoint, which is actively promoting the transition to the digital economy, this Jasanghan Company agreement to promote the non-face-to-face sector centered on 5G is expected to serve as a breakthrough in the difficult economic reality," and "the government will also actively support the smooth implementation of the agreement."